AK Club（A）：淘品牌的空降CEO

This case series includes two cases, with case A introducing an ambitious new online apparel brand AK and its newly recruited CEO, and case B telling the story of its up-market initiatives against the online shopping trend. Against the backdrop of online shopping’s explosive development and the emergence of countless original online brands, the story of AK Club is a representative and interesting example. The dilemma of the protagonist company was that it was forced to forgo its initial mid- to high-end positioning, even though it retained a very famous international design director, to increase its appeal to online shoppers, who were used to seeking low-price, value-for-money products from online shops. However, this strategy was not sustainable, as a vast number of mid- to low-end brands were copying each other and trying to survive through low pricing. No brand, not even AK, could survive in this vicious circle. What could AK do to avoid being carried away from its original aspirations and tastes? How could AK survive in such an adverse environment for online original brands? This teaching note highlights the application of game theory in the marketing framework.